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Mutual funds resist Sebi’s performance-linked fee

December 25, 2025

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Mint Chennai

Mutual funds are pushing back against the Indian market regulator's proposal to introduce a fee linked to performance, arguing that continuous churn in a massive and diverse investor base makes such a calculation extremely complex.

- Apoorva Ajith & Srushti Vaidya

Mutual funds resist Sebi’s performance-linked fee

The Securities and Exchange Board of India (Sebi) announced a proposal on 28 October requiring mutual funds to charge a performance-based expense ratio in each scheme, along with other measures to revamp regulations in the sector.

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